Microsoft Plans to Open and Acquire Studios to Release More First-Party Games

Microsoft Plans to Open and Acquire Studios to Release More First-Party Games

Microsoft is planning to invest more in creating first-party games and is ready to open and purchase development studios in the process.

Over the past few years, Microsoft has not exactly been at the top of its game in developing and releasing first-party games, especially due prominent cancellations and the shuttering of a couple of studios. The focus of investment appears to have been mostly on the core business, and on remedying to the mistakes made at the launch of the original Xbox One.

Apparently, this is about to change, as Xbox Division Head and Executive Vice President of Games Phil Spencer told Bloomberg in an interview. The house of Xbox is planning to increase investment in developing first-party games, and this includes opening and acquiring studios.

Spencer also admitted that investment in creating content has been uneven, pledging that instead, it should be one of the company’s strengths.

“We need to grow, and I look forward to doing that. Our ability to go create content has to be one of our strengths. We haven’t always invested at the same level. We’ve gone through ups and downs in the investment.”

Interestingly, we also hear that over the next three years Microsoft might also launch a streaming service that doesn’t require a console to play “some type of content” pretty much like PlayStation Now. The company already tested the service internally in 2012, but that proved too costly for that time’s market. Yet, Azure cloud services have made a lot of progress since, and this is “changing the economics and quality level.”

No further information was provided, but such a move would certainly make sense for a company that has made significant investment in cloud solutions, with Azure consistently proving to be an essential building block in Microsoft’s profitability.

Just a few days ago, Xbox Games Marketing General Manager Aaron Greenberg told us that Spencer’s appointment to Microsoft’s Senior Leadership team was a signal of the importance of gaming as a strategic business.